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Power Sector Cooperation Planning Survey in Arab Republic of Egypt Final Report

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Power Sector Cooperation Planning Survey in Arab Republic of Egypt Final Report ARAB REPUBLIC OF EGYPT Ministry of Electricity and Renewable Energy (MoERE) The Egyptian Electricity Holding Company (EEHC) Power Sector Cooperation Planning Survey in Arab Republic of Egypt Final Report October 2018 Japan International Cooperation Agency (JICA) Tokyo Electric Power Services Co., Ltd. (TEPSCO) 7R JR 18-030 Table of contents Chapter 1 Introduction .................................................................................................................................... 1 1－1 Background ........................................................................................................................................ 1 1－2 Purpose ............................................................................................................................................... 2 1－3 Survey Team ....................................................................................................................................... 3 1－4 Work Schedule ................................................................................................................................... 3 Chapter 2 Status-quo and prospects of the power sector ................................................................................ 4 2－1 Formation of policies and plans in the sector and related assistance policies in key donor agencies 4 2－1－1 Formation of policies in the power sector in the Egyptian government and their implementation .................................................................................................................. 4 2－1－2 Relationship between ISES2035Scenario4b and the various plans concerning development in the power sector, and the propriety of methods used in determining the plans ............ 9 2－1－3 Situation surrounding the power sector, electric power implementation system, related economic and financial analysis ...................................................................................... 25 2－1－4 Status quo of Reform in the Power Sector and expected issues ............................................ 43 2－1－5 Assistance policies and related information in key donors .................................................... 58 2－2 Supply and demand of electric power .............................................................................................. 63 2－2－1 Current status and forecast of primary energy procurement .................................................. 63 2－2－2 The current situation and outlook for power demand ............................................................ 68 2－2－3 Present situation and future for power plant development and power supply / demand ....... 69 2－3 Power generation .............................................................................................................................. 74 2－3－1 Current status of the installed generating capacity ................................................................ 74 2－3－2 Generating facilities under construction and planning........................................................... 79 2－3－3 Information on IPP contracts ................................................................................................. 82 2－3－4 Hydropower generation facility (pumped power generation facility plan) ............................ 84 2－4 Transmission .................................................................................................................................... 85 2－4－1 Basic information of transmission ......................................................................................... 85 2－4－2 Information on EETC organization and its current operation ................................................ 91 2－4－3 Information on the transmission system at present ................................................................ 92 2－4－4 Information on the transmission system under construction and at planning stage ............... 99 2－4－5 Status quo of international interconnections at present and in the future ............................ 100 2－5 Distribution .................................................................................................................................... 103 2－5－1 Status quo in the distribution system ................................................................................... 103 2－5－2 Information on the distribution companies .......................................................................... 111 2－5－3 Information on the existing distribution facilities ................................................................ 113 2－5－4 Information on the distribution facilities under construction and planning ......................... 115 2－5－5 Information on collection of electricity fees from consumers ............................................. 115 2－6 Renewable Energy ......................................................................................................................... 116 2－6－1 Related policy and program including FIT system .............................................................. 116 2－6－2 Existing facilities and operation situation ............................................................................ 119 2－6－3 Development Plan ................................................................................................................ 119 2－6－4 Condition of grid connection and technical issues including grid stabilizing ..................... 122 2－7 Environment and social considerations .......................................................................................... 125 2－7－1 Environmental Policies and Targets ..................................................................................... 125 2－7－2 Environmental Regulations .................................................................................................. 133 2－7－3 Management rules of fly ash after installing coal thermal power plants ............................. 145 2－8 Energy Efficiency ........................................................................................................................... 146 2－8－1 Present Situation of Energy Consumption ........................................................................... 146 2－8－2 Act, Regulations and latest situation regarding Energy Efficiency Improvements.............. 163 2－9 Human resource development system in electric power sector ..................................................... 171 2－9－1 Human resource development system in electric power sector ........................................... 171 2－9－2 Situation at the training facilities ......................................................................................... 179 2－9－3 Assessment on human resources development in the power sector ..................................... 181 2－10 Information on Japanese technology ............................................................................................ 182 2－11 Seminar in Egypt .......................................................................................................................... 186 Chapter 3 Main Issues in the Power Sector and Expected Solutions .......................................................... 192 3－1 Understanding of the Overall Situation in the Power Sector in Egypt .......................................... 192 3－2 Issues on power sector policy and basic frames of the solutions ................................................... 194 3－2－1 Ensuring Power Supply to cope with increase in uncertainty regarding demand increase .. 194 3－2－2 Reinforcement of the transmission system under the condition of increased uncertainty in demand growth .............................................................................................................. 196 3－2－3 Coping with the Mass Introduction of renewable energy from a long term perspective ..... 197 3－2－4 Issues related to FIT (Additional reminding comment) ....................................................... 200 3－2－5 Regarding Reform of the Electric Power Sector .................................................................. 201 3－3 Regarding Issues on Individual Sectors ......................................................................................... 202 3－3－1 Power Supply ....................................................................................................................... 202 3－3－2 Transmission and Substation Networks ............................................................................... 203 3－3－3 Issues regarding Energy Efficiency...................................................................................... 205 3－3－4 Issues regarding Finance ...................................................................................................... 205 3－3－5 Issues regarding Environment .............................................................................................. 206 3－3－6 Issues regarding Human Resource Development ................................................................ 207 3－3－7 Issues regarding Distribution area (Tentative) ..................................................................... 207 Chapter 4 Candidate projects to cope with the issues ................................................................................. 209 4－1 Candidate projects as technical cooperation for realizing the solutions ........................................ 209 4－2 Contents of the candidate projects ................................................................................................
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